BT has come under strong criticism from MPs over its investment in UK infrastructure.
A report into connectivity from the Department Culture, Media and Sport Committee stated that BT was "significantly under investing" in its Openreach infrastructure division.
The Committee pulled no punches in its views on BT it said that ‘BT has exploited its position to make strategic decisions that "favour the Group's priorities and interests" - and is likely to have sacrificed shareholder value and customer benefit as a result.’
MP’s said that investment in Openreach and customer service were poor and that Ofcom should do more to enforce full separation. It said that it was in support of Ofcom's plans for establishing greater separation between Openreach and BT Group.
However, the Committee also demanded ‘the prospect of stiffer penalties’ should BT not hit the standards required.
Actions over words
The criticisms put forward in the report are by no means new, rivals of BT and Ofcom have spoken out against the way in which Openreach operates in the past.
It’s a case of whether the British telecoms giant will be forced to make significant changes or not. Its four months since Ofcom published its intentions towards Openreach by it remains unclear what exactly the regulator is doing in practical terms in regards to BT and Openreach.
Mobile has contacted BT and was awaiting an reply at the time of going to press.